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Cyprus 13, Europe 13, Us 12, U.s. 9, S&p 6, Greece 6, Spain 5, Phillip 4, Finance 4, China 4, Liz 3, Peter Barnes 3, Ben Bernanke 3, Jeremy Siegel 3, Johnson & Johnson 3, Cme 3, Smithfield 3, Portugal 3, London 3, Nicole 2,
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  FOX Business    FOX Business After the Bell    News/Business. Stock  
   market updates. New.  

    March 25, 2013
    4:00 - 5:00pm EDT  

liz: with a lot of stocks very concerned about what's going on in cyprus here are three that hitting all-time highs. you may own johnson & johnson, right? what is interesting about this one is johnson & johnson hitting all-time high as they had to recall some of the blood glucose meters. here is another one. this is moving by another all-time high, abbvie. amgen, another all-time high, at 96.89. another all-time high. we're off the lows of the session. we had been down 117 points. i'm heading this way to david asman. david: it has been a long time, girl. j&j is interesting story. in addition to everything else being very, very good working stock right now, it still still gives out the dividend, well over 3%. people keep wondering how high the market can go as long as you get dividends and no place else to put your money you put it in the stock market. nicole petallides.
it really started when we heard the official from europe saying perhaps cyprus would be a model for other countries if they have banking problems? >> that's right. when you start it hear that maybe they would seize assets or confiscate money in other countries it putting a little fear and contagion in there. what we saw was the euro dropped to a 4-month low. the lowest level since september 22nd. our markets that were in the green turned into the red. liz: it is around 1.28 at the moment. as we show s&p losers, we should talk about best buy not a loser at all. in fact it is in the green. schultz is returning to the company. >> he will step on as chairman emeritus. it was his baby and he founded the company and he was considering trying to take it private. likes what the company is doing. likes the latest quarter which is a good one and wants to support those initiatives. david: blackberry can't get a leg up. it has a goldman sachs
downgrade and the stock suffering as a result. >> citigroup, you can add to them as well. didn't see the sales of the z10 as they helped. liz: dell, we talked about it a minute ago. [closing bell rings] david: there is pop to the upside as the bidding war emerges. liz: there is the nasdaq, national kid any foundation with a lot of kids ringing that bell. of course what do we see, red on the screen. david: red on the screen. you were wearing a reddish color. hoping you would come in green. liz: purple. david: the market did too. one that took the littlest hit, was russell. almost made it way way into the green. they're off the lows but the dow is trending down as we settle towards the end of the day. the s&p is down a little less percentagewise. nasdaq even a little less than that. it is down 9.7. liz: one of the biggest dow loss leaders was bank of america.
look at european banks. they're suffering deep drops despite the cyprus bailout. societe generale and royal bank of scotland and pnb paribas suffering big smackdowns. david: oil was a big mover. crude rose 1.2% to $94.81 a barrel. this is the highest settle since february 20th. >> casino stocks, they actually were a bright spot in today's down market, following upbeat remarks from economists in macau's economy. 2013 will look good. melco crown and boyd gaming also a standout. "after the bell" starts right now. david: so here's question, when is it tir moyle actually good for the markets and the economy? well, when it is overseas. renowned professor jeremy siegel telling us why the
european crisis could be a win for the u.s. and send the markets soaring to 16,000. liz: protesters are a win for us. we'll fund out more from dr. siegel. we know the feeling standing on the corner waiting for the taxis and being surprised how much that meter ran up while you sat there in the car with traffic. a new company hopes to make that aggravation go away by making taxis obsolete. ceo of sidecar is joining us. david: want to hear about that story coming up. we'll tell you what drove today's markets with today's data download. it is a down day on wall street as investors worry what is next for the eurozone. stocks gave up gains on all three major indices, ending the trading day low. industrials and materials led the decline. well the euro extending its losses against the dollar falling more than 1% to a 4-month low. the dollar following the cyprus's deal to rescue its banking sector. the euro dropped to a session low of 1.28 versus
the green back. copper falling the most in four sessions on speculation demand will slow in china as its government takes step to tame inflation. the metal extended last week's decline, dropping to $3.45 a pound. liz: we have phillip in the pits of the cme. a pretty wild day. plus our market panel. john tanglewood and ron weiner. before we get to those two gentlemen, let's start with phillip at the cme. it was an interesting day. at one point we were down nearly 120 points. another we would up 51 points. which side do we end tomorrow? >> real interesting day, liz. i woke up. i saw the news on cyprus. i turn on fox. everything is happy. i thought we would blow to the upside and it would be a great day. the clouds had lifted but it was behind us now. later on as the day developed dutch finance
minister coming out saying this problem might not be over. we might assess other euro area banks and might be too large and ask them to restructure or downsize. that starts to get the fears of contagion. that's why you saw the s&p 500 give up its gains, trade off to the lows. you saw the euro currency sell off as well. a little bit of bidding coming into the end of the day. that is just your first quarter, the guys trying to get the window-dressing on. the second thing you have guys that came in, sold short thinking maybe it, it was the top and we're turning around from here. those guys all started to bid up and close out the position at the end not seeing much follow through. that was your action. david: what is the biggest fear here about what happens in europe? is it the fact that the banks there will be decapitalized? or that many of them will actually go the same way the cyprus banks went? >> it is news there is always that possibility that they go there. i mean who wants to wake up one day and realize they're locked out of their bank
account and, you're getting a haircut for 20 or 30%. david: phil, the cyprus banks have a unique relationship with greece. they're right there. they have a lot of exposure to greece. aren't any banking institutions in europe with the exception of greek banks that are that exposed to greek companies. >> yeah. the other thing is i read that out of the 370,000 accounts that are in these banks, 360,000 accounts fall under that 100,000 euro mark. so this only affect as very small sliver. those are mainly the russian, you know, bank holders. so those are the people that are affected but there is always the possibility that this becomes exactly what they're saying earlier, a model that is, you know, at least brought onto the table in other eurozone banks and that's what scares people. liz: nobody looked scared today. look at vix, okay, it is up slightly but hovering just below 14? amazing. >> i think that is absolutely amazing. that and also gold not
really responding that well either. back and forth most of the day. liz: what does that mean stocks are eli the place to be? >> well, i think that, because the, as long as you stick with u.s. stocks and you look at nice like johnson & johnson, you know, reaching up there to new highs, these companies have a lot of capital on the side. so they have the ability to, you know, make some mergers and acquisitions. also they can weather some of the storms if you do get the selloff. i think that u.s. stocks, unfortunately they are the place to be at the moment but i think that, you know, looking out forward if you do have this type of spread you could see some kind of a movement around into the safety plays. liz: phillip, good to see you. thank you so much. we'll check back in with him in a few minutes. >> thank you. >> sure. david: let's bring in the market panel. john weiner, and john merrill. good to see you, gentlemen. john, first to you, there is still the case there is no place like u.s. equities right now to invest in. one thing it is the only consistently upward mobile
index that we have to bet in. secondly you get the dividends from stocks like j&j but you see a change in market leadership that you have pointed out and you think is very significant. that is those sectors leaders are beginning to change shapes somewhat. how is that affecting the market and how should that affect your portfolio? >> i think you have to start with the fact that this bull market, cyclical market is four years old. it had a blastoff stage the first two years which were led by explosive earnings and obviously earnings actually went up higher than market prices. so kept p-e ratios down and it kept valuations intact. but in the last 12 to 18 months you had a little bit of a change. the earnings have slowed down but the market prices continue to go up. that put pressure on p-e ratios which have risen to 18 times trailing earnings which is slightly ahead of its long-term average. valuations are not the cushion that they were. and what you were talking
about is true. we're seeing that the leadership of this market during that blastoff stage was led by stocks like apple and sectors like materials but, now, it has changed to the more defensive sectors like health care and, consumer staples. look at today. johnson & johnson. coca-cola, these are bucking the trend going up. and i heard earlier on your broadcast that materials led the way down. so, we're definitely seeing this played out in this different character for this maybe the end of the bull market. liz: so, ron, is four years old old to you for a bull market? does what john just said change your opinion? you've been pretty bullish on stocks? >> well we're bullish on stocks but we think it is a stock-pickers market. it is getting a little stretched it has been four years but hasn't been a typical four years out of a recovery especially as bad as this. i still think there is room to go and part of it will come from the bond market holders. i think they will really get
disappointed when they get their statement this is month, next month, probably on going as interest rates probably don't go up whole lot but they're not going down a whole lot, that's for sure. they will get disappointed and look for places to put their money. not necessarily high dividend-paying stocks in our opinion. we think companies that have been increasing their dividends consistently. that is a strong sign that the companies believe in their own growth. that's where we're going for the most part. david: by the way, ron, we heard john talk about apple as part of the past but you think it could be part of the future right now? you're betting on it? >> absolutely. apple's a cheap stock. that's it. they're a cheap stock in a growing sector. so they don't have to beat the pants off of samsung at this level. what they have to do is keep participating in the movement of smartphones, of ipads, of computer, computer mobile computing. and they have got lots of room to go in china. they come out with any kind of catalyst, a cheaper iphone for china, or apple
tv, there is so many possible catalysts that will send this stock, maybb back to 500. maybe a little more. we think it is cheap right here. liz: john, i didn't mean to characterize you as bearish but you're out there investing as well, but defensively in what? >> correct. that's the case. we are not bear. we think as the market goes higher we want to take a few chips off the table and posture our portfolio more defensively and sectors like healthcare, we like the vanguard health care etf. symbol vht. we like the energy sector but like to play it defensively also. we like mlp and energy income fund. we're still in emerging markets. we want to be more conservative. we like the matthews asia growth and income fund. we're defensive but doing it more --. david: curious about starbucks, how much further do you think starbucks has to go in this market?
>> they have to go a long way. they're first getting in china. they're getting in retail. they're selling their own coffee makers and competing with the k cups. they have lots of room to grow. fine management. they will do fine. david: gentlemen, food to see you. thanks very much. good stuff. liz: thanks, guys. cyprus, we have to attack this in a deeper way. they may have reached a last minute deal to secure much-needed bailout funds but seems as though the damage is done as fears of contagion now spread. maybe italy as well? we're live. david: also could the turmoil in europe actually be good for the united states and our markets? we have someone who says yes, and it could push us straight through to dow 16,000. jeremy siegel is a professor of finance at the wharton school. he has been right on the market before. you don't want to miss what he has to say, coming up. ♪ . [ indistinct shouting ]
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david: the s&p futures are closing right now. let's head back to phillip in the pits of the cme. any indication of what will open at tomorrow, phillip? sound pretty wild? >> well, it is pretty wild. we have a lot of data coming out tomorrow. you have consumer sentiment. durable goods and new home sales. a lot of data coming out. keep an eye on the 1539 level. that is low of s&p. we have break through there. could be selloff continues. david: phillip, thanks very much. good stuff. thank you. >> thank you. liz: let's talk about smithfield foods. it is getting a boost today. nicole is on that story. >> that's right, liz. we watched smithfield foods jumping moving from annual highs to one year highs. based in smithfield, virginia. that is packaged foods and the like. now seems they have secured goldman sachs to explore some strategic about options and that could unlock some shareholder value.
talking about the possibility of splitting the company into three separate businesses. that could unlock the value of these shares. you see it close at 26.85. some say it could move the stock to $48 a share. meantime we saw a nice pop, up about 2 1/2% today. as i noted to a new multiyear high. that is the latest on the floor of the new york stock exchange. back to you. david: thanks, nicole. after nail biting weekend, cypress reaching unpopular last minute deal to get a bailout from the eurocrats. this avoids a banking collapse and possible exit from the euro. liz: collapse, hate that word. rich edson in nicosia, cyprus, getting reaction from the people. rich? >> listen, david, mostly right now a sense relief. the banks in this country will be open for the first time more than a week tomorrow morning. except of course for the two banks being bailed out here. you have to imagine like
this, in at united states, as if it were lehman brothers. except lehman brothers took deposits, a lot of deposits. one of the two largest banks in the country. for these folks, 100,000 euros or less are protected. there are some corners and senses of anger. we went into a protester. they're trying to get protests in front of the parliament building. perhaps in front. president's residence. when you talk to different folks, difference sense no matter who you speak witt and the results are very much fixed. >> for me the idea is go out of the eurozone. i think, it is enough with this joke. >> why? >> because, there is, i lived this and, with a greek reality, what is happening. everything, every three months and there is, a new plan, of rescuing the
country and sinking the people. this is the story. i've seen it in spain. in portugal, in ireland, everywhere. i don't think here it will work. there is no way. >> i believe, difficult days. i believe in the future even with the economic cycles and people understanding all that has happened. i hope so. human few months, few years, the life is better. >> you also have a little bit after walk-back from the eurozone community. the eurozone chairman had said that the bailout here was a model for europe and that other banks should be reduced in size around europe. our own adam sampson found from a eu official that the comments were misunderstood and that cypress is very much a specific case. back to you. liz: rich edson, let's hope so. they always say that. david: let's hope it doesn't spread. thank you, rich. could the u.s. market see a boost following this
disorder in europe? coming up jeremy siegel, professor of finance at the wharton school, he is here telling us why money in europe could push the dow straight up to 16,000. liz: a positive out of this. what would boost homeownership but give the economy a bump. there is lot of talk getting rid of the mortgage interest rate deduction. people got all hysterical and upset about it. we have somebody in the business who says it doesn't lie in mortgage rates or prices. it is about, in a way, revising an eliminating eventually the mortgage deduction. if we fix it, we may just fix the housing market he says. have to hear bear by habeeb. david: oh, like barry. ♪ .
liz: among the many debates how to help trim spending has been this idea of axing the mortgage interest rate deduction. oh, my god. the mortgage industry freaked out. the lobbyists flipped out of their mind. but our next guest who is part of that industry said axing it in a certain way, call it trimming it would just not only avoid derailing the recovery but a slight modification on the other hand could all we need for healthy house being market and economic boom. joining us now, barry habeeb. everybody i talk to says in the business they love to read your newsletters and listen to what you have to say but you're quite, i can't even believe you're saying this.
you're saying trim the mortgage interest rate deduction? >> well, would want to keep it. absolutely want to keep it but we have to see the future before it becomes obvious also, right. the mortgageededuction costs government $100 billion of the year. only 26% take the deduction. you have to think in washington people are talking about it. we know they're talking about it. rather than save some foolish ideas, trim it to 500,000 that is foolish. only 12% of mortgages are over 500,000. liz: anyway. >> how about we fix it. instead of making this like the gift that keeps giving, incentive to buy a emhoe. it creates 20% of the gdp as housing activity. liz: let me interrupt. people say if you get rid of the deduction you will derail the whole housing market. >> it will hurt. give it a five-year life. not five years from today. whenever you take out purchase mortgage. take the deduction for the first five years. that helps with incentive you have to got to purchase the hope. instead of making a gift that keeps giving and having benefit, out last the
incentive, after five years, you don't get the deduction anymore. think about it. it will give you incentive to purchase a new home, create more economic activity. we paint ourself in corner with low rates. liz: meanings, let me back up. buy a home. >> yep. liz: get deduction for five years. i really enjoyed that, it's over. if i buy a second home get a new deduction. >> for new five years. liz: how does the government win? people stimulating housing market? >> get benefit of economic activity and don't have the long term deduction for the someone says in home 25 years and gets deduction every year. liz: let me play devil's advocate on the industry side, it will cause a housing slump if you eliminate the gift that keeps on giving. >> glad you asked that. it does the opposite in my opinion. if you look about it, painted ourselves in corner. 3.5, 4% interest rates. we know rates will go up eventually, rates go up 6, 7%, still good, will someone
purchase a home and i don't want to give up 3% mortgage to take out one for seven. wait a minute, a have a 3% mortgage after the tax deduction feel like more of a bridge. liz: how do we implement this? how do we say to the lobbyists. this will become what 2 has become, five years done? somebody has to compromise. >> everyone wants to do not in my backyard. it has to be part of a grand plan. part of a total revenue package and expense cutting package, right? if we're able to accomplish that, implementation is relatively easy. first thing i rather keep mortgage deduction. we all would. because we see tangible benefit. only if they are going to tippinger with it. don't eliminate it. look for ways to generate revenue, activity through the economic revenue and still give people a benefit especially first-time home buyer. liz: they say a solution that gets everybody upset is the best solution. >> probably. liz: it would annoy the mortgage industry. it would annoy homeowners
who want it. would annoy the government because they want it eliminated. maybe it is a good idea. get your prediction on mortgage rates coming up. they have been historically low. >> they have started to move up quite a bit past four or five months predominantly due to the stock market run. maybe stocks pull back a little bit, mortgage rates improve i think stocks are headed higher. that spells trouble for mortgage rates. liz: see it on the far right of the screen. starting to tick up. >> 4.25 by end of the year. 4.5%. liz: would you recommend people refinance now? >> this is great time to refinance. home affordality statistically speaking never better than it is now. home prices continue up next three or four years. liz: give people the mortgage rate deduction but chop it off after five years. thank you, hairy habeeb. >> thank you. david: what a compromise. need him inside the beltway. run for office, for good necessary sakes. liz: state of new jersey. go for it. david: markets were spooked by fears of cypress spreading throughout europe.
that is not why our next guest says markets should expect another boost. europe's pain could be our gain. the dow could be headed to 16,000. reknown finance professor, jaur my siegel is next. forget about finding a cab and be stuck with sticker shock when all the surcharges are added to final fare. we're talking to a company that looks to make taxis obsolete. the founder and ceo of sight car is next. -- sidecar. ♪ . investor. yeah, i'm a serious investor
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♪ liz: our quick speed read. first up, cutting 4,000 jobs by the end of 2015. the package delivery company announcing that it is part of the restructuring plan. between apple and googol heating up. buying the indoor gps company wi-fi for $20 million in an effort to catch up with rival googol after cutting ties with the internet giant last year. travelers are feeling less pay at the pump as gasoline prices for the fifth day in a row with the national average for a
gallon of regular gasoline dropping to $3.67 per gallon, down $0.11 compared to one month ago. t-mobile offering no contract pay-as-you-go contracts in to the unlimited talk, tax cuts mandated study of $50 per month. san jose expected to offer a package to keep semiconductors from relocating to austin, texas. the city council will meet tomorrow. that is your. >> caller: for date. david: bingo. liz: stocks erasing earlier gains after european officials suggested the unpopular cypress banking deal had become a model for other european bailouts. turmoil overseas could actually be a good thing for our markets and economy. let's figure this one out. professor of finance at the wharton school of the university of pennsylvania. professor, thank you. we were talking to you about a
week and a half ago about hope you had a very bullish outlook for the s&p 500 before cyprus blew up. now you're not exactly with the crowd who is worried about this and say it could be a good thing for markets. how so? >> first of all, i see interest rates going down. the ten year was over 2%. it is down at 190. you just announced gasoline was down $0.11. the fear index is now a little more. so actually, i think that the base for up up movement in the stock market is stronger now than it was a couple of weeks ago. i don't think there will be contagion. i think, you know, the new solution was certainly better than the old one. i mean, europe is going to be in the dumps for a long time, but financially add nothing that we will have a crisis that will spill over to the u.s. david: one thing that concerns people lot is when you have
banking activities you create a pressure cooker. the longer that lead is on top of the pressure cooker the bigger explosion you get when the lid is finally taken off. if they decide to keep that lead on a few more days could it not spooked enough investors, not only in the cypress banking system, but other parts of the european banking system that people just have runs on banks all over the place, and that would spill into the u.s. markets, would it not? >> well, first of all, the cyprus bank had an awful lot of bad lending. that was really a lot worse than the major bank that we see in portugal and spain. he said to listen, i am opening a bar discount window. i am opening up our fund borrowing window to you guys. basically he said that to spain and even to greece. the cyber situation was as an extreme. we did see this small depositors
. of a large depositors should take a hit. they should realize that some of their funds are at risk. david: but might -- >> a big difference between that and spain and greece. david: but just a bushel more call might that not lead to a bank runs? because it nobodies' money is safe then people might think, and g's, my money is better off in gold or maybe even u.s. treasurys. >> but i think the difference here was a commitment that he made to the banking system in greece, to the banking system in spain and portugal's cahuenga that we have our discount window open to you to borrow anything the you need so that there will not be a run on the bank. if there is, you can have these to pay it out. he explicitly never said that. there was never qualified to do that. therefore i think it will be a special category compared to alysian the rest of europe. liz: you have been awfully
bullish saying that the s&p 500k hit 1700. don't we need strong gdp? the output of all goods and services, to generate better returns for stocks in the stock market? currently kind of just bubbling along here with our gdp? >> we are. there are two major ingredients to a stock market. one is certainly earnings, which does depend on economic growth. but also, there is a question of the multiple that you apply to earnings. i think that most of the up movement we will see of the next two years will be multiple expansion. we're selling 13 and a half, 14 times 2013 earnings. in a low interest-rate environment that is very cheap. we can easily get up to 15, 16, even 17 and not be out of line with historical experience. i think it is multiple expansion that is going to be the key
because, again, we know there are $10 trillion in money funds or in bank accounts earning nothing. people are eventually going to say, hey, i am going to go get some of that dividend income. i am going to move back. it has only been done little but so far. we could see a much bigger movement and one that i think is fully justified by the fundamentals behind the market. david: are you surprised more money has not come out of the bond fund? there has been a lot of money going into stock fund, but there has not been a big drop-off, frankly not at all, of money in bond funds. why not? >> i think, again, a lot of people cling to the bond funds because if their is a crisis, like we saw in greece, the treasury market possible little bit. if you hold treasury's you can look at those and say, that cushioned the decline in the portfolio. it is, in my opinion, an extremely expensive insurance policy.
little comfort. liz: what if inflation starts to it. people think they can't lose money on bonds. inflation you actually could. >> absolutely. if inflation hits it will lose its insurance policy, lose its store of value, quality, a double whammy against the bond market. i absolutely -- treasury bonds rally. people are comforted by that. but my feeling is exactly like you say, once inflation becomes more of a fear, that insurance policy will disappear. liz: when the think we are going to see? we heard bernanke at aphis percentage point to his inflation target. nice to and a half%. when the you think it's really going to start to be a concern
for investors? >> he added a half a percent to the short run target. we will tolerate up to two and a half%. you want to sell yourself of the bond with the inflation is to work three. i'm not one of these people the thinks inflation will rev up into the high single digits the way that some people do, but even at three and 4% term bonds, you know, cannot compete anywhere near at that level. liz: so true, i think. david: professor of finance at the wharton school for the university of pennsylvania. good to see you. thank you for coming in again. >> thanks for having me. liz: they're reserve chairman ben bernanke getting their royal treatment. he answers questions in london. concern about europe and its impact your account. peter barnes has the story. david: what he did not have to
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david: commuters are often held captive by monopolies to doe have interest in making rice geber a more efficient. our next guest has found a way to challenge the enemies of innovation by way of a mobile phone apple. it's called sidecar and recently expanded to washington d.c. and three other major cities. joining me now, ceo and co-founder. good to see you. tell us exactly how this works and how you make money from it.
>> sure. it is actually incredibly simple it just involves smart phone. as a writer, you indicate where you are, were you want to go, and that a commission gets sent to drivers who are willing to give rides. when they see one that is convenient for them, they can select, approved and then you see and track them using gps and see when a show of. at the end of the ride you have a voluntary payment. as a writer that you can pay to that driver which goes to their account. it's as simple as that. david: a voluntary payment. how often does the voluntary payment it made? >> you know, it's amazing. one thing we discovered through this thing is that people are fair. only about 1% of trips result in a zero payment. and the vast majority of trips are either paid at the suggested
amount or higher. david: you get a percentage. what is your cat. >> we take a percentage. david: what's your gut? >> we take 20% in the driver gets 80. david: the biggest obstacle that i can see coming from the york is that a lot of these transportation companies have monopolies, and they hold your sleep tight to these monopolies. they don't like to give an inch to anybody, particularly taxi and limousine service. have you been fighting the battles in the cities? >> yes, we have. what is amazing is that even though we think transportation is too important to close the door on innovation. and this and will we are going through this platform represents a fundamental transformation in transportation. and as you can expect, you know, the people lav existing monopolies want to hold on to that as much as they can. they have been leveraging their influence as regulators in order to bring actions against us.
david: i heard in philadelphia there really pay it -- played hardball. >> is, they did. in philadelphia there were three drivers that have their vehicles impounded and find. at doing something that people do every day and exchanging money for gas money, carpool. we think that that was particularly egregious sort of heavy handed technique, but we have seen similar at least threats of action by places like austin, texas. there we file suit against the city to make it clear that we and the drivers in our community have the right to operate. david: are you winning? >> we intend to win. we are still prosecuting the case. david: it must get frustrating. not only are you against the monopolies, but sometimes you are against the cities because
the monopolies that power because they work very often hand in glove with city officials to was a you're fighting city hall. >> well, honestly, what is happening is we will find that when we talk to people who are connected with what the people want they almost always are supporting this. so most politicians are supportive of overdoing. where we're finding opposition tends to be those that listen to the voice of the taxicab companies. david: i hope you come to new york. we can use you year. good to see you. sidecars the name of the company. tech data your neighborhood. good luck. thank you. >> great. thank you. david: liz, back to you. liz: federal reserve chairman ben bernanke travelled across the atlantic to defend the central bank decision to the print more money. what does he see ahead for the entire world, global economy following the prices.
peter barnes has been posting everything that has been set and a high-school student convinces yahoo to fork over millions for a company created at 15 years of age. %-we take you off the desk ahead on "after the bell." ♪ we went out and asked people a simple question:
how old is the oldest person you've known? we gave people a sticker and had them show us. we learned a a ot of us have known someone who's lived well into their 90s. and that's a great thing. but even though we're living longer, one thing that hasn't changed: thofficial retirement age. ♪ the question is how do you make sure you have the money you need
to enjoy all of these years. ♪
♪ david: federal reserve chairman ben bernanke heading across the pond to speak at the london school of economics. liz: the question, any hints of monetary easing slowing and was he concerned about the cyprus crisis. peter barnes joins us with more on that discussion. >> reporter: david and liz, this is why you need reporters asking questions, not economics students and professors because they did not ask about cyprus where the future of fed policy. so in his prepared remarks the fed chairman did talk about
currencies and possible currency wars, which is important stuff. he defended aggressive monetary policy. he dismissed critics to say that some countries are devaluing there currencies through loose monetary policy to increase exports, boost economic growth. he did not mention japan by name , but the yen has tank says japan announced more stimulus and monetary policy. he said, these costs to competitive devaluations? he said no. @% the advanced industrial economies are currently pursuing appropriate expense of their policies to help support recovery and price stability in the country's. as the modern literature on the great depression demonstrates, these policies can for a net benefit on the world economy as a whole and should not be confused with the zero were negative some policies of trade diversion. >> reporter: so next time he does one of these i'm going to do like we do with the president
down here and he's going to the helicopter, which have questions at him. it jumped up from the audience and try to estimate of cyprus. liz: a little stunning that there would not even tackle that. >> reporter: i know. they did not get asked. david: in your criticism has nothing to do with the fact that you wanted to go to london to be aired. >> reporter: i had bought the ticket. liz: thank you. david: thank you. liz: you are sure to brrak your budget. how much a 3-foot tall chocolate easter egg will set you back this holiday season. ♪ dad, i'd put that down.
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